8-K

CRH PUBLIC LTD CO 8-K Report (Jan 14, 2008)

Filed January 14, 2008For Securities:CRH

Summary

CRH Public Limited Company (CRH) has filed an 8-K report on January 14, 2008, detailing a recent transaction involving the repurchase of its own shares. On January 11, 2008, CRH announced that UBS Limited, acting on behalf of the company, purchased 52,289 Ordinary Shares of EUR0.32 each at prices ranging from EUR22.171 to EUR23.00 per share. These repurchased shares will be held as Treasury Shares. This share repurchase activity indicates CRH's ongoing strategy to manage its capital structure and potentially return value to shareholders. The company now holds 461,375 Ordinary Shares in Treasury, with the total number of outstanding shares (excluding treasury shares) standing at 546,765,819. Investors should note that share repurchases can signal management's confidence in the company's valuation and future prospects, as well as impact earnings per share by reducing the total number of outstanding shares.

Key Highlights

  • 1CRH plc repurchased 52,289 Ordinary Shares on January 11, 2008.
  • 2The shares were purchased by UBS Limited on behalf of CRH plc.
  • 3Repurchase prices ranged between EUR22.171 and EUR23.00 per Ordinary Share.
  • 4The acquired shares will be held as Treasury Shares.
  • 5Following this transaction, CRH plc holds a total of 461,375 Ordinary Shares in Treasury.
  • 6The number of Ordinary Shares in issue, excluding Treasury Shares, is 546,765,819.

Frequently Asked Questions

Holding shares in Treasury allows CRH to have flexibility for future use, such as employee stock option plans, acquisitions, or to return capital to shareholders through further buybacks. It also means these shares are not currently counted towards diluted earnings per share calculations.

Companies often repurchase their own shares when they believe the stock is undervalued, as a way to return capital to shareholders, or to offset dilution from employee stock options. This action can signal management's confidence in the company's financial health and future prospects.

Based on the stated prices and quantity, the total value of the shares repurchased is approximately between EUR1.157 million (52,289 shares * EUR22.171) and EUR1.204 million (52,289 shares * EUR23.00).

This specific transaction increased the number of Treasury Shares by 52,289, reducing the number of shares considered 'in issue' for calculations like earnings per share. The total number of shares outstanding, excluding treasury shares, is now 546,765,819.